SEATTLE (AP) — Amazon says its third-quarter net income sank 73 percent despite sales growth as the online retailer spent money to grow its business.
The company’s earnings fell short of analyst expectations and its stock fell nearly 20 percent in after-hours trading.
The company said Tuesday that it earned $63 million, or 14 cents per share, in the quarter. This compares with $231 million, or 51 cents per share, a year earlier.
Revenue climbed 44 percent to $10.9 billion.
Analysts polled by FactSet expected net income of 24 cents per share on nearly $11 billion in revenue.